Policy vs. Panic: Changes to the Portuguese Golden Visa
Policy vs. Panic: Changes to the Portuguese Golden Visa
Rumors of the death of Portugal’s Golden Visa have been greatly exaggerated.
Spoiler: Despite rumors, fears, and even overwrought headlines to the contrary, the Portuguese Golden Visa has not been eliminated. Some changes have been made, some changes might be made, but none of the changes come nearly to the level of anything that could be considered elimination.
So now that you’ve been set at ease, here are the actual details of what’s actually happening with the Golden Visa:
The Portugal Golden Visa (a.k.a. the Portugal Investment Visa, a.k.a. the Portugal Golden Passport) allows prospective immigrants to obtain a residence permit in exchange for a qualifying investment. As it currently stands, the visa allows investors and their families to live, work, and study in Portugal, and then apply for citizenship after five years. So what’s changed? And what’s changing so much people are getting panicked about it?
The two big changes under discussion:
- How to qualify for a Golden Visa
- How to attain citizenship
What’s already changed: Qualifications for a Golden Visa
Arguably the most significant change to the Golden Visa has happened just within the past couple of years. In 2023, Portugal passed its Mais Habitação (More Housing) Bill in response to rising housing costs and decreasing housing availability due in large part to real estate speculation. In line with that, they removed real estate and capital transfer as investment options for the Golden Visa.
Investment options that are no longer available for a Golden Visa:
- Real estate acquisition (€500,000, or €400,000 in a low-density area)
- Property investment for rehabilitation or restoration (€350,000, or €280,000 in a low-density area)
- Capital transfer (€1.5 million)
Options that remain available:
- Investment in private equity funds or the Portuguese Golden Visa venture capital fund (€500,000, or about $584,000)
- Donation to or investment in the arts, national heritage, or culture (€250,000, or about $292,000)
- Investment in public or private scientific research (€500,000)
- Creation of at least 10 jobs (in low-density population areas, eight jobs)
- Establishment or investment in a Portuguese business — incorporate in Portugal with a share capital of €500,000, plus create five permanent jobs, or increase share capital of an existing Portuguese company by €500,000
When it comes to actually acquiring a Golden Visa, the biggest changes have already happened — and the Golden Visa still exists. You just can’t get one by investing in real estate.
What might change: Qualifications for citizenship
Portugal’s Parliament is current discussing a proposal that would amend the country’s naturalization requirements. If the amendments in question pass, they’ll affect anyone applying for citizenship — including but not limited to Golden Visa holders. The main requirements currently under discussion are:
- A longer residency period, from the current 5 years to 10 years, beginning from the date the first residence permit is issued rather than the date of application
- A cultural integration test, covering Portuguese language, politics, and national values
- Criminal background and security checks, denying citizenship to anyone with a serious criminal record or who could be deemed a national security threat
The current naturalization requirements include Portuguese language proficiency as the A2 level or above, which would remain unchanged under the new requirements.
With all that in mind, what are the most important things to know right now about potential changes to Portugal’s Nationality Law?
- The new requirements haven’t been approved or even voted on yet — they’re just part of a draft bill currently under discussion.
- They might not be approved as currently presented — a lot about the bill is likely to change during legislative negotiations, which are likely to run into late September or onward.
- Passage of the bill would require a two-thirds majority, which isn’t guaranteed.
- Even if the bill is approved, the timeline for it to take effect is uncertain.
Don’t panic.
If you’re hoping to move to Portugal using a Golden Visa, you’re no less able to do that now than you were two years ago. If you’re hoping to apply for citizenship once you’re there, you’re no less able to do that now than you have been, and that may or may not change in the near future. And if you aren’t in any particular hurry to qualify for citizenship once your permanent residency has been established, the changes to the law could have minimal impact on you.
Details might change, but Portugal’s Golden Visa itself shows no signs of going away. Essentially, you’re golden.
